An empirical analysis of employer branding in information technology startups - an Indian experience

India is one of the world's largest economies with a huge growing market and flourishing industrial sector. Since liberalization of Indian economy and introduction of telecommunication infrastructure, information technology (IT) sector has developed in an unprecedented way; it has not only grown but has also contributed to the economy of our country. The number of startups was very small in late 1990s and early 2000s, as Indian economy was slowly adjusting to the new ways of globalization and liberalization. The risk-averse behavior of the Indians resulted in less competition among the startup companies as compared to the United States (US). This lack of competition led to poorer quality, slower market building and lower valuations. Now, India is riding high on the technology wave and IT startups are popping up like mushrooms because of many factors. Introduction of internet, free and easily available information, quick and easy accessibility to finance and guidance and increasing interaction with foreign corporations are some of the major contributors to this growth. However, evidence indicates that startups are not able to attract a large pool of talented people. Indian startups generally face problems such as talent crunch as well as non-uniform quality because of constant attrition. In this backdrop, present study investigates and understands the factors which affect employee's decisions to join an IT startup. Studyalso provides a strategy to the IT startups to attract a larger talent pool and to retain key skilled employees.